Posts tagged ‘McDonald’

26/08/2014

China Says Celebs Have to Actually Try the Products They Endorse – China Real Time Report – WSJ

Celebrities who endorse ads for products they don’t try may need to start being a guinea pig in China.

On Monday, an updated draft of the Central Party’s advertisement law submitted to lawmakers said that celebrities who are paid to be spokespeople for products, should try the product before they represent it, according to state media. The goods and services celebrities endorse need to be “based on facts,” the draft says.

False endorsements have been a big problem in China and across Asia. In 2006, Hong Kong actress Carina Lau was sued after she endorsed a luxury Japanese skincare cream, which she said could reduce wrinkles by 50% after a month of use. Later, it was discovered that the cream contained harmful chemicals, including toxic metals chromium and neodymium, and that some consumers had adverse reactions to the cream. (The Japanese skincare brand, SK-II, was fined 200,000 yuan, or about $32,500, for false advertising.)

More recently, Jackie Chan endorsed one of Bawang International’s anti-hair loss herbal shampoos. After a Hong Kong-based magazine revealed that the shampoo contained a substance that may cause cancer, Mr. Chan responded. “I have always been very careful with what products I endorse. But there are some media who are specifically gunning for me and a few other artistes, I am not sure why, as though it is better that we all just died.” .(For its part, Bawang said its products had passed quality tests and that many shampoos and cleaning products contain small traces of carcinogens.)

The revision comes on the heels of last year’s revised Law on Protection of the Rights and Interests of Consumers, which states that celebrities who appear in misleading commercials, and the media that broadcast the ads, are legally liable.

Monday’s updated law reinforces celebs’ legal liability and says their “illegal income” can be confiscated if they stump for false advertising. They could also face hefty fines.

But it isn’t exactly clear how the law will be enforced or whether the government can actually monitor whether celebrities actually try out the products they promote.

via China Says Celebs Have to Actually Try the Products They Endorse – China Real Time Report – WSJ.

22/07/2014

China food scandal spreads, drags in Starbucks, Burger King and McNuggets in Japan | Reuters

The latest food scandal in China is spreading fast, dragging in U.S. coffee chain Starbucks, Burger King Worldwide Inc and others, as well as McDonald’s products as far away as Japan.

The logo of a Starbucks coffee shop is seen in New York June 25, 2013. REUTERS/Brendan McDermid

McDonald’s Corp and KFC’s parent Yum Brands Inc apologized to Chinese customers on Monday after it emerged that Shanghai Husi Food Co Ltd, a unit of U.S.-based OSI Group LLC, had supplied expired meat to the two chains.

On Tuesday, Starbucks said some of its cafes previously sold products containing chicken originally sourced from Shanghai Husi, a firm that was shut down on Sunday by local regulators after a TV report showed staff using expired meat and picking up meat from the floor to add to the mix.

A Tokyo-based spokesman at McDonald’s Holdings Co (Japan) Ltd said the company had sourced about a fifth of its Chicken McNuggets from Shanghai Husi and had halted sales of the product on Monday. Alternative supplies of chicken have been found in Thailand and China, he added. The company’s shares briefly fell as much as 1.4 percent to a 15-month low before closing down 0.4 percent.

China’s food watchdog said it ordered regional offices to carry out spot checks on all firms which had used Shanghai Husi products, and would inspect all of parent OSI’s sites around China to see if enough has been done to ensure food safety. It said the case could be handed over to the police.

The regulator’s Shanghai branch said in a statement on Tuesday it had demanded production, quality control and sales records from OSI. It added it already ordered McDonald’s to seal over 4,500 boxes of suspected meat products and Yum’s Pizza Hut to seal over 500 boxes of beef.

Fast-food chain Burger King and Dicos, China’s third-ranked fast food chain owned by Ting Hsin International, said they would remove Shanghai Husi food products from their outlets. Pizza chain Papa John’s International Inc said on its Weibo blog that it had taken down all meat products supplied by Shanghai Husi and cut ties with the supplier.

via China food scandal spreads, drags in Starbucks, Burger King and McNuggets in Japan | Reuters.

Law of Unintended Consequences

continuously updated blog about China & India

ChiaHou's Book Reviews

continuously updated blog about China & India

What's wrong with the world; and its economy

continuously updated blog about China & India